Will Spain copy Ireland?

The Irish ‘bad bank’ has chosen to demolish the ghost towns that were created during Irelands property bubble, at least that is how is has been reported in eleconomista.es. The question for me, is will we see the same happening in Spain?

Many of you will have heard of the 6/700,000 new properties for sale in Spain, with many being owned by banks. If a ‘bad bank’ is created to take over these assets, many of the properties will need to be revalued. Some will need to be significantly reduced in price to sell. While others due to location, size and quality will remain unsellable.

So what can be done about these properties, many of which are located in urbanisations still in the construction phase? Return the land to nature.

Succinctly put by Irelands Housing Minister Jan O’Sullivan “If nobody wants to live in them, then the most practical thing to do is to demolish what’s there.”

Regards
Andrew Belles

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